The states minimum wage has steadily increased over the years, according to this schedule: Worried about how long it will take to adjust payroll for all your workers? Living with an anxiety disorder can be debilitating and cause significant stress for those who suffer from the condition. specific advice applicable to your business, please contact a professional. the information up to date, we make no representations or warranties of any kind about the completeness, accuracy, The 65 cent increase in minimum wage is based on the increase in inflation between August 2020 and August 2021, as published in Any work in excess of eight hours in one workday, in excess of 40 hours in one workweek, or in the first eight hours worked on the seventh day of work in any one workweek shall be at the rate of one and one-half times the regular rate of pay. Check out our Resource Center for the latest compliance updates, industry trends, thought leadership and best practices to help organizations achieve their vision and reach their potential. But there is more to the Tucson ordinance than just a pay increase for minimum wage workers. While we strive to keep This new city ordinance increases the minimum wage for virtually all employees working within the city limits to $13.00 per hour, effective April 1, 2022. Arizona employers may not pay you under $13.85 per hour unless you or your occupation are specifically exempt from the minimum wage under state or federal law. And that is largely driven by a 17.1% year-over-year increase in housing costs, a reflection of sharply higher home prices and rents.-30-On Twitter: @azcapmedia, History of Arizona and federal minimum wageYear / State / Federal2006 / $5.15 / $5.152007 / $6.75 / $5.852008 / $6.90 / $6.552009 / $7.25 / $7.252010 / $7.25 / $7.252011 / $7.35 / $7.252012 / $7.65 / $7.252013 / $7.80 / $7.252014 / $7.90 / $7.252015 / $8.05 / $7.252016 / $8.05 / $7.252017 / $10.00 / $7.252018 / $10.50 / $7.252019 / $11.00 / $7.252020 / $12.00 / $7.252021 / $12.15 / $7.252022 / $12.80 / $7.252023 / $13.85 / $7.25-30-, PublishedSeptember 15, 2022 at 5:08 PM MST. A West Valley high school teacher was named KTAR News 92.3 FM's The Gaydos and Chad Show's Pay Tribute to a Teacher winner for March, presented by your Valley Toyota Dealers. See Frequently Asked Questions About Wage and Earned Paid Sick Time Laws, Read the Substantive Policy Statement for Hours Worked, Read the Substantive Policy Statement for Workers with Disabilities, Visit the site that has the Arizona Minimum Wage Act Practice and Procedure Generally, but some cities have their own minimums, including Tucson ($13 an hour) and Flagstaff ($15.50, rising to $16.80 in January). For 2023, thats $13.85 per hour for non-tipped employees and $10.85 for tipped employees. The minimum wage may be adjusted annually based on a set formula. Get an Arizona all-in-one labor law poster, file an unpaid overtime claim with the Arizona Department of Labor, U.S. Department of Health & Human Services. Workers' Comp + Payroll made 100% for you. The 7th day overtime law, which is separate from the minimum wage law, requires employers who permit covered employees to work seven days in any one workweek to pay the employee at a rate of time and one-half for hours worked on the seventh day when employees work all seven days of the workweek. Effective Jan. 1, 2023, the minimum wage in Arizona is $13.85 per hour for standard employees and $10.85 per hour for tipped employees. Also, you can only use the tipped minimum wage to pay employees who regularly receive tips from customers, such as servers, bellhops, bussers, hairdressers, car wash attendants, and valets.. 11 800 W. Washington, Phoenix, Arizona 85007-2022; (602) 542-4515. The national poverty line for a family unit consisting of two people is $16,020.00 per year. Reduce labor spend, manage overtime, and maximize productivity across your workforce. Does your air conditioner make weird noises or a burning smell when it starts? In Arizona, employers must provide paydays two or more days in a month, not more than 16 days apart. FOX 10's Matt Galka has. If you have read the FAQ and still cannot find the information you need, please contact us with your question. Please refer to our Privacy Policy for more details. In some parts of the state, its already getting closer. The Oregon minimum wage is adjusted annually on July 1 based on a set formula. Keeping up with minimum wage increases and tax withholdings can be tedious. Paycor has the right defenses in place to protect your data. Switching payroll providers can sound scary to a small businessbut it doesnt have to be. << x]Ko9hDR$E`lzgZd$+IeZMXW~kx}x9TeeO4:Y|};}}?sqx?vxCSNQ(YUkju?~sMei.CMcu.K/UE'sx/VBcr-T9NN_Lk ^S9Z->IC73'3YFV^0%*mM\Q|$).gJyM#nF~? It raised from $12.80 to $13.85 effective from January 1, 2023. any state to learn about applicable minimum wage laws. ICA has the option to increase the rate on Jan. 1 of each year. YpgF7nY%DyuI HJ 53`fY1focK(;fc#>@spOuz*[m)5oe?^.z&u). sVlEyQ/aUYrz(0cXH{.0Tp7yKWT`! F% _&y' ^[E`LP"m5#d`$NWy}v;`Szlbpc(Z7TrfW]Ufn:%R-K$XrySHBh:@hs*@; d+*!t9"525HZ!_^ O@#FQ'm(^C4vw~7q`VANi\kdUl;nuV"(ZyA7HqUW0,qpps8/G#ap;myk{+@tp_c0'+TOgTs41xKJ2fD/&1};bc>)mUv+7s#S`/ZM>*=8&)?>&>7}M|P1^X)wGH X-v:>w_T$.L"[|oPbjF81aA8;~l~~Ud`VG8 :U#'L pZ!=8KO*!6>m9~}?}}5jKmW_n3#) t1U;:/<2jG:0'rN 2:C@5qEi{*',uYA-G-]76621k8y3Z?s( )OG;=R- 0x1whO-lE6+w. Explore our product tour to see how. Seeing is believing. Small business employers and their employees should be aware of the minimum wage requirements in Arizona. Starting Jan. 1, employers across the state will have to pay workers at least $12.80 an hour, the . .cd-main-content p, blockquote {margin-bottom:1em;} 2022 Hourly, Inc. All Rights Reserved. The following is a table of all Arizona localities with established minimum wage laws. State requires employers to pay tipped employees a minimum cash wage above the minimum cash wage required under the federal Fair Labor Standards Act ($2.13/hour) At least $10 weekly for full-time employees or $2.00 daily for part-time in hotels and restaurants. $13.85. The https:// ensures that you are connecting to the official website and that any information you provide is encrypted and transmitted securely. Streamline recruiting and hiring so you can quickly and effectively fill open positions, develop top talent, and retain your workforce. This new city ordinance increases the minimum wage for virtually all employees working within the city limits to $13.00 per hour, effective April 1, 2022. %PDF-1.7 See Minimum wage increase schedule. Some types of employees may be exempt from the regular minimum wage in Arizona and eligible to be paid at a lower rate.. Ready to transform your business intro a profit-pumping machine? The site is secure. Eliminate large down payments and end-of-year surprises. The Maryland minimum wage equals the federal minimum wage when set below the federal rate. Some states require workers who work over a certain number of daily hours to be eligible for this overtime rate as well (Arizona law does not specify a daily overtime limit). /Height 1056 The Living Wage (that is paid to DC Government Employees & Contractors) increased to $16.50 on Jan. 1, 2023. Get insights into your workforce to make critical business decisions. 10 0 obj <>/Border[ 0 0 0]/Rect[ 243.84 1.92 366.72 13.44]/Subtype/Link/Type/Annot>> $12.80 /hr. 11 0 obj Applicable to all employees covered by the federal Fair Labor Standards Act (FLSA) except for agricultural employees and employees of municipalities and the Commonwealth of Puerto Rico. .agency-blurb-container .agency_blurb.background--light { padding: 0; } /*-->*/. A public service of Arizona Western College. An increase of $1.05 in the minimum wage is based on the inflation that occurred between August 2021 to August 2022. The minimum wage will be adjusted annually based upon a set formula. endobj Get The 2022 Arizona Employment Law Handbook (Printable PDF) today! Track your regular work hours, break time, and overtime hours. For . Usage is subject to our Terms and Privacy Policy. /SM 0.02 Ensure you have a strong onboarding process. Instead the State adopts the federal minimum wage rate by reference. No. "It's not necessarily job elimination,'' Chucri explained.Some fast-food and even casual dining spots direct customers to kiosks to place their orders and pay. So, whats the current minimum wage in Arizona, and is it going up anytime soon?. The increase will take effect on January 1, 2022 and will remain in effect until December 31, 2022. 10 0 obj endobj This is greater than the Federal Minimum Wage of $7.25. Hire skilled nurses and manage PBJ reporting. The act establishes a local minimum hourly wage of $13, beginning on April 1, 2022, which will then increase to $15.00 an hour by Jan. 1, 2025. The minimum wage is adjusted annually based on a set formula. The new rate, which goes into effect Jan. 1, is based on the increase in the cost of living from August 2020 to August 2021 as measured by the U.S. Bureau of Labor Statistics Consumer Price Index, according to the Arizona Industrial Commission. Employees 16-17 years of age may be paid 85% of the minimum hourly wage rate. Most states have lower minimum wages, and most don't adjust or index their numbers to inflation. The minimum wage in Arizona is determined by the Industrial Commission of Arizona (ICA). The premium overtime pay requirement on either a daily or weekly basis is not applicable to employers of fewer than 4 employees. p.usa-alert__text {margin-bottom:0!important;} Title: 2023 THE FAIR WAGES AND . If their pay is lower than that for any period, you have to cover the difference.. endobj Voters in Arizona, Colorado, Maine and Washington approved November ballot measures to raise their respective minimum wages. 2 . If they were earning the regular minimum wage of $13.85 per hour, their gross pay would be $277. To further understand the minimum wage in Arizona, you can refer to the 2021 minimum wage poster. The current minimum wage in Arizona is $13.85 per hour, which is $6.6 more than the federal minimum wage. That will rise to $13.85 an hour, an increase of $1.05, starting Jan. 1. Flagstaff is also gradually lowering the wage credit for tipped workers so they will eventually earn the regular hourly minimum wage plus their tips., The tipped minimum wage in the city will be as follows:. per hour. >> Connect with new hires and make a lasting first impression. /Width 32 Annual increases are mandated by Proposition 206, which statewide voters approved in 2016. See our vetted tech & services alliances. > The U.S. average unemployment rate for 16 to 19 year olds was 10.6%. That's when the state's minimum wage, already one of the highest in the nation, will rise again, with the increase tied to inflation. What Restauranteurs Need to Know About This Growing Trend, Tips and Tools to Retain Your Top Employees, 10 Scientifically Proven Ways to Motivate Employees. After deducting income and FICA taxes, an employee working full time and earning minimum wage in Arizona will earn $21,432.03 in a year if they work all 52 weeks. ol{list-style-type: decimal;} Why is Arizona's. 4 0 obj Paycors compliance solutions help ensure accurate filing and mitigate risk. There is a higher minimum wage in the Portland metro area and a lower minimum wage in Nonurban counties. If you have questions about the Arizona minimum wage, please ask us and someone will respond to you as soon as possible. Learn how with our monthly newsletter. The 7th day overtime law does not apply when the employee is not permitted to work over 40 hours total in the workweek. Arizonas hourly minimum wage is higher than the federal minimum wage of $7.25 per hour, which is mandated by the U.S. Department of Labor in the Fair Labor Standards Act (FLSA). (Arizona's minimum wage. Bring together your checking, savings, and loans, How This Growing QSR Uses Tech to Handle Restaurant Craziness, How to Manage Multiple Locations for Your Salon, Substance Skatepark Is Growing Its Business and a Sustainable Community, TikTok Takeover: Marketing Strategies for Your Business. The current minimum wage rate is re-evaluated yearly based on these values. All workers who put in over 40 weekly hours are entitled to a minimum wage of at least 1.5 times the regular applicable minimum wage (learn more about Arizona overtime pay). Instead the state law authorizes the adoption of the federal minimum wage rate via administrative action. Employers operating a factory, mercantile establishment, hotel, restaurant, freight/passenger elevator, or theater; or a building employing security guards, janitors, superintendents, managers, engineers, or firemen must provide 24 hours of consecutive rest each week. But the cost of eating out has risen by just 8.0%.The other big hike has been the price of cars and trucks, up 10.1% for new vehicles and 7.8% for used.Shelter prices, including rent and what the BLS calls the owners' equivalent rent of residences, are up 6.2% nationally.BLS also released separate data Tuesday for the Phoenix metro area -- Maricopa and Pinal counties -- that showed some marked differences with the national figures.Most notably, annual inflation is up 13.0% compared with 8.3% nationally. The increase will either correlate to a rise in the cost of living or a flat rate of $2.00 above the state minimum wage, whichever is higher. <>/Border[ 0 0 0]/Rect[ 244.8 52.8 348.48 64.32]/Subtype/Link/Type/Annot>> For employers with employees in multiple states, keeping up with numerous minimum wage rate changes can be a daunting task. Arizona state income tax withholding is a percentage of the employee's gross taxable wages. Arizona's minimum wage will increase to $13.85 an hour. <>/Border[ 0 0 0]/Rect[ 489.6 170.88 513.6 185.28]/Subtype/Link/Type/Annot>> "And in the back of the house, we're also seeing the introduction of robotic arms that are working in certain parts of the kitchen, whether it's turning over fries or flipping burgers, whatever the case might be,'' he said.Arizona voters mandated in 2006 that the state have its own minimum wage not tied to the federal figure. If you earn more then the Arizona minimum wage rate, you are entitled to at least 1.5 times your regular hourly wage for all overtime worked. stream Premium Pay After Designated Hours: Daily - 8, Weekly 40, and on statutory rest day (time-and-a-half). For employers with fewer than 10 full-time employees at any one location who have gross annual sales of $100,000 or less, the basic minimum rate is $2.00 per hour. @media (max-width: 992px){.usa-js-mobile-nav--active, .usa-mobile_nav-active {overflow: auto!important;}} Leave payroll and taxes to the experts so you can focus on your business. /BitsPerComponent 8 That will rise to $13.85 an hour, an increase of $1.05, starting Jan. 1. Yes, but the government uses a slightly different Consumer Price Index gauge to determine annual cost-of-living or COLA increases for Social Security, and it's based on the 12 months through September, not August. << But even with that,BLS reports that gasoline prices are up 25.6% over a year earlier.There also has been a 33.0% increase in the cost of piped gas, versus a 15.8% hike in electricity.And grocery prices are up 13.5% year over year. The minimum wage rate does not apply to any person who is employed by a parent or a sibling; any person who is employed performing babysitting services in the employers home on a casual basis; any person employed by the State of Arizona or the United States government; or any person employed in a small business that grosses less than $500,000 in annual revenue, if that small business is exempt from having to pay a minimum wage under section 206(a) of title 29 of the United States Code. As the Arizona minimum wage is set to increase over the next few years, its time to get prepared. .usa-footer .container {max-width:1440px!important;} /Filter /FlateDecode Paycors leadership brings together some of the best minds in the business. Although the federal minimum wage of $7.25 has not budged since 2009, nearly half of the country increased their minimum wages for hourly workers after January 1, 2022 to compensate their employees, and more than twenty will provide additional increases going into 2023. 16 0 obj Instead of printing out pages of mandatory Arizona and Federal labor law posters, you can purchase a professional, laminated all-in-one labor law poster that guarantees compliance with all Arizona and federal posting requirements. Minimum wage rate and overtime provisions applicable to retail and service, commercial support service, food and beverage, and health and medical industries. Its capitalism at its finest. The current Arizona minimum wage rate is $13.85. This ballot measure would increase the minimum wage to $18 per hour, and continue to increase the minimum wage based on inflation as measured by the consumer price index. A Veterans Affairs health care facility in Arizona endangered its maintenance employees by allowing them to work on steam lines that exposed them to hazards, according to federal inspectors. For the year 2021, the increase in minimum wage in Arizona was measured based on the overall cost of living. endobj Arizona is one of the many states that have passed a law to gradually raise the minimum wage. At the start of 2022, it will become $12.80 per hour. Test drive Paycor Payroll, Onboarding, HR, and Time for 14 days. <>/Border[ 0 0 0]/Rect[ 90.24 318.72 195.84 330.24]/Subtype/Link/Type/Annot>> The Arizona minimum wage in 2023 and beyond will adjust based on inflation and cost of living. Drive engagement and increase retention with talent development and continuous learning. Professionally laminated State, Federal & OSHA notices in one high quality 25 x 39 poster Includes all 10 required posters in AZ, Federal & OSHA posters into one poster Arizona Minimum Wage: $12.80 - Effective 01/2022 Earned Paid Sick Time Occupational Health and Safety Protection See . Like elsewhere in the state, the city of Tucson also lets you take a $3.00 credit for tipped employees as long as their total pay is at least what they would have earned with minimum wage. Applicable to employers of 4 or more employees, Premium Pay After Designated Hours 1 : Weekly - 40. Paycors always in the news for innovation, hiring and more. No. Access collaboration tools and resources that help champion equality and promote DE&I best practices in the workplace. endobj 23-363(B), Arizona's minimum wage will increase from $12.80 to $13.85 effective January 1, 2023. Leverage AI to automate sourcing and increase candidate diversity. The two states with the lowest minimum wage are Georgia and Wyoming, both sitting at $5.15; however, employers in Georgia and Wyoming that are subject to the Fair Labor Standards Actmust still pay the $7.25 Federal minimum wage. Than just a pay increase for minimum wage in Arizona, and overtime.. Website and that any information you provide is encrypted and transmitted securely 13.85 effective January. Your benefits program and is it going up anytime soon? the following is higher! Based on a set formula 31, 2022 and still can not find information! 4 or more employees, Premium pay After Designated hours: daily -,... Contact a professional remained $ 7.25 since 2009 more than the federal minimum wage laws is adjusted annually upon... The right defenses in place to protect your data -- light { padding: 0 ; } Title 2023! Owing to inflation a daily or Weekly basis is not applicable to of... Workers at least $ 12.80 /hr - 40 Payroll, onboarding, HR, and most do n't adjust index! 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To $ 13.85 effective from January 1, employers must provide paydays two or more employees, pay... & I best practices in the workplace increase the rate on Jan. 1 each! ; fc # > @ spOuz * [ m ) 5oe? ^.z & u ) with talent development continuous! May exist thats $ 13.85 per hour for the last five ( $ 20.77 per overtime hour 5!, employers must provide paydays two or more days in a month, not more than days! To our Privacy Policy the information you need, please contact a professional % for.... Hj 53 ` fY1focK ( ; fc # > @ spOuz * [ m ) 5oe? &! Law authorizes the adoption of the minimum wage rate is re-evaluated yearly based these.